GCPA Glossary

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S&P 500 Index
The S&P 500 Index is considered the most accurate reflection of the U.S. stock market today. It is the benchmark against which judging the overall performance of money management is used. It is a large capitalization market-weighted index where each company's stock value affects the index in direct proportion of the company's market value relative to the total market value of the index. An index is unmanaged and you cannot invest directly in an index.

S&P BARRA Growth
The S&P BARRA Value is a capitalization-weighted index comprised of stocks of the S&P 500 with high book-to-price ratios relative to the S&P 500 as a whole. Each company of the S&P 500 is assigned to either the Value or Growth index so that the sum of the two indices reflects the total S&P 500.

S&P BARRA Value
The S&P BARRA Value is a capitalization-weighted index comprised of stocks of the S&P 500 with high book-to-price ratios relative to the S&P 500 as a whole. Each company of the S&P 500 is assigned to either the Value or Growth index so that the sum of the two indices reflects the total S&P 500.

S&P Midcap 400 Index
The S&P Midcap 400 Index is a widely recognized, unmanaged index of 400 medium capitalization stocks.

SAI
Statement of Additional Information, which can be requested in addition to the prospectus.

SEC required performance
There may be two sets of performance numbers shown for a registered insurance product (such as a variable annuity or mutual funds). The first set, which is obligatory, called "SEC required performance numbers," include deduction of the surrender charges along with all of the usual charges that apply if one withdraws funds early (within one, five or 10 years of the last calendar quarter, or since inception). The SEC required performance also is called "standardized performance". The second set of performance figures, which is optional but must be used in conjunction with the SEC required performance numbers, does not include surrender charges but does include the other charges and fees that must apply to the contract.

Sector funds
A type of mutual fund that invests in the stocks of companies representing a specific industry, such as technology, utilities or health care. Funds that concentrate investments in one industry may carry greater risk than more broadly diversified funds. Refer to the fund's prospectus for complete information on risks, fees and expenses.

Securities
Stocks, bond or other types of investments that represent equity ownership or a debt obligation. The holdings of a mutual fund are securities.

Securities and Exchange Commission (SEC)
The Securities and Exchange Commission a commission created by Congress to regulate the securities markets and to protect investors. The SEC does not guarantee an investor against the loss of money from an investment.

Shareholder
What an investor who holds mutual fund or stock shares is called.

Short term
Usually one year or less, often used to refer to bonds or loans.

Short-term disability
Usually associated with group insurance, this type of insurance pays a monthly benefit for total disability after a brief waiting period for a short period of time (typically up to three, six, nine or 12 months).

Small-cap
Refers to either small companies or mutual funds which hold the stock of small companies. Small-caps have higher volatility as well as higher potential for greater capital gains. The illiquidity of the small-cap market may adversely affect the value of these investments so that shares, when redeemed, may be worth more or less than their original cost. Many small-cap funds come under the heading of an aggressive growth mutual fund. Refer to the fund's prospectus for complete information on risks, fees and expenses.

Stock company
In life insurance, a company initially funded by the sale of ownership shares (stock) in a corporation.

Stock symbol
Also referred to as a ticker symbol. It is the abbreviation that represents the name of a stock or a mutual fund. When looking at a ticker tape or newspaper for the current value of a stock or mutual fund share, you must know its alphabetical symbol.

Stocks
A stock investment represents ownership in a public company.

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